Global investment firm KKR and investment manager Round Hill Capital have sold a Spanish logistics portfolio held together with developer Pulsar Properties to industrial specialist P3 Logistic Parks.
The Pulsar portfolio, comprising around 112,000 m2 of big box logistics space, was sold for €108.3 mln. It spans five development schemes located throughout the Greater Madrid region (82% of lettable area) and Barcelona region (18% of lettable area) and is fully leased.
KKR, Round Hill Capital and Pulsar Properties formed their joint venture – known as Pulsar Iberia Logistics - in October 2018 to acquire logistics assets across select areas of Spain. The initial portfolio, consisting of four institutional-quality development schemes, was acquired in a joint venture with Round Hill Capital from developer Pulsar Properties in 2018. The Pulsar joint venture acquired and integrated Fontanar to the portfolio in 2020.
Seb d'Avanzo, managing director at KKR, commented: ‘We are delighted P3 Logistic Parks will be the new owner for the Pulsar Iberia Logistics portfolio.’ He added: ‘Logistics remains a high priority sector for us in Europe, and we have already made further investments through our second European Real Estate fund, KKR Real Estate Partners Europe II. ‘
Michael Bickford, founder and CEO of Round Hill Capital, said the sale ‘demonstrates the effectiveness of Round Hill Capital’s strategy of using our local market expertise across Europe to source opportunities which generate attractive yield-driven returns’.
KKR’s investment was made through its Real Estate Partners Europe fund, its first dedicated European real estate fund, which closed in June 2016 with $739 mln in capital commitments.
Pulsar Iberia was advised on the transaction by Freshfields Bruckhaus Deringer.
